Dominion Energy Cove Point Files for Amendment Of Certificate of Public Convenience and Necessity (CPCN)
Dominion Energy Cove Point (DECP) filed a motion today (08/10/17) with the Public Service Commission of Maryland requesting an amendment of the Certificate of Public Convenience and Necessity (CPCN) for the liquefaction project to reflect certain necessary updates to the permit.
Dominion Energy’s investments in natural gas are a critical element of our company’s comprehensive clean energy strategy. New natural gas infrastructure allows continued transitioning from coal to this cleaner-burning fuel, and it provides reliable around-the-clock backup energy to support major investments in renewables like solar and offshore wind, helping improve air quality in communities.
The Dominion Energy Cove Point LNG terminal has access to the nation’s abundant natural gas supplies, enabling the facility to provide cleaner energy to our overseas allies. Surplus natural gas that is liquefied and readied for transport at the facility can help meet the global demand for cleaner energy and bring $40 million a year in property taxes, and many other benefits, to Calvert County.
The liquefaction project has already brought many benefits to southern Maryland. Examples include:
- Total craft workers employed: 10,000
- Total wages and salary paid to staff and craft workers: $400 million
- Amount paid into union benefits fund: $130 million.
- Income taxes paid to Southern Maryland and Maryland: $30 million
- Community volunteer hours: 2,300, valued at $143,000
- Grants and donations to charity: $718,000
- Permanent full-time Dominion Energy jobs created: 99
The DECP liquefaction project is designed and built with the best available technology and will be operated for the lowest achievable emissions rate to minimize its impact on the environment. It uses clean burning natural gas and meets the most stringent environmental limits to protect air quality. And it will be zero-discharge – so no water used will disturb the Chesapeake Bay.
Cove Point was required to make updates to its CPCN for the number of piping and equipment components associated with the fugitive leak monitoring program, requesting use of backup power to liquefaction equipment and minor updates to air quality modeling.
The current CPCN contains two types of emission limits for fugitive emissions from piping and equipment components. The first is a state-of-the-art leak detection and repair (LDAR) program that requires monitoring and repair for fugitive emissions. The second is a numeric limit on fugitive emissions as volatile organic compounds (VOC).
We have asked to amend the CPCN to control fugitive emissions solely through the LDAR Program rather than the numeric VOC limit, consistent with guidance from regulators. Accurately measuring or calculating fugitive emissions from these components is infeasible, and the numeric VOC limit does nothing to control actual fugitive emissions. By following an LDAR Program, we are confident fugitive emissions will be minimized, and we will continue to control and minimize emissions to the lowest achievable emission rate, the most stringent emission reduction standard enforceable under the Clean Air Act.
The CPCN specifically identifies the two existing GE Frame 5 combustion turbines as providing an additional 25 MW for the liquefaction facility during certain operational activities. To provide operational reliability, DECP is requesting approval to allow the alternative of using the Solar Titan and the three GE Frame 3 combustion turbines to supply the additional 25 MW as needed. Emissions will remain within existing limits.
DECP has performed updated modeling demonstrating that the facility still will not cause or contribute to a national ambient air quality standard increment exceedance. Likewise, the updated Maryland Toxic Air Pollutant modeling shows emissions from the facility will not adversely impact public health.
The liquefaction project is scheduled to be completed in the fourth quarter of this year.